1. We ignore the associated costs associated with a purchase: depreciation, insurance and taxes, for example. Instead we focus on the immediate gain: a bigger house, a newer car, a longer vacation. We overestimate anticipated income increases and underestimate expenses when asking: “Can I afford this?”

Spending Shift 1:

Stretch the boundaries of your reasoning about “hidden” or “underestimated” costs. Write them out.

We Ignore Interest Rate Costs

2. We will hold savings with a low rate of return instead of applying those savings to pay down debt with a much higher rate of interest. Classical example: a 2% savings account and a 12% – 18% credit card debt.

Spending Shift 2:

Feeling safe because there are savings may be a false assurance if interest is eroding your overall financial health.

We Feel Falsely Secure.

3. Asset appreciation does not equate to an increase in spending power. That is, homeowner equity may go up, but disposable income (cash on hand) remains constant. Even so, many people will increase their spending because they think they are better off.

o solve your bad debts problem here are some solutions below that are general, and will assist you in any situation.

Take an inventory of your credit commitments: List the amount you owe on the principal of all loans and the amount of interest you are paying. Seeing it all in a budget can make you wise in your financial decisions.

Organize your expenditure obligations: home loan and vehicle installments are ordinarily at the highest priority on the rundown of the list.

Track where you are at present spending your cash. Before you can roll out any improvements to your budget, you have to recognize what you can change and what you can’t change.

Make a financial plan, without an individual spending plan; it is difficult to live inside of your predetermined methods.

Add to it, a sensible obligation diminishing arrangement; consider:

· Where you can trim costs.

· If you can, see where you can produce an additional wage.

· If you can, you might be able to suspend general venture commitments while you are paying down expenditure obligation.

Are you currently looking for an effective way to get rid of your cable subscription? In the past few years, some new alternatives have emerged. These are viable and will allow you to maintain your entertainment, while also saving money! Of course, only one of these options will be right for your particular situation. Below, you will be able to find a breakdown of these options.

Sling TV or KlowdTV

Some demand live television! Unfortunately, there aren’t many ways to watch live television online, without breaking the law. SlingTV and KlowdTV are two excellent options. KlowdTv is a little new to the game, but is quickly establishing itself as a leader. It offers a small number of channel options, but these can be purchased separately, which is definitely cool.

SlingTv is bigger and bolder. With this streaming service, you can watch all kinds of awesome channels, including AMC, SundanceTV and even HBO. Unfortunately, some have reported performance issues with the company’s service. However, they have improved their servers in the past few months, so they’re consistently getting better.

There are many reasons it would be financially advantageous to purchasing a house. You may have recently graduated from college, are a newlywed, expecting your first child, or have accepted a new high-paying job. There are long-term financial advantages and tax benefits to homeownership, but one of the largest roadblocks to purchasing a house is often the down payment. Below is a list of suggestions that you can use to save money towards a down payment on a new house.

• Create a Household Budget – Write out a list of all your monthly expenses. Go through your checkbook and receipts for the past three months and find out exactly how much you are spending per month. Create a budget that you can live with that limits your expenses. Track your spending, this will help you realize what expenses you may be able to eliminate.

• Open a Savings Account – After creating your monthly budget, devote a certain amount or percentage of your monthly income to savings. Your savings should be used only for special purchases or holiday spending to avoid using credit cards or

Did you know that there are some simple ways to save money by doing ordinary things? There most certainly are! What in the world am I talking about? I will explain in this article.

My first tip is for when you go grocery shopping. Are you aware that the generic brands of the foods you normally buy are just as tasty as the name brands? This is true! In fact, very often the generic (or store-name brand) of a particular food item tastes better than the big name brand. Best of all they cost far less. Also at your supermarket, do not be afraid to buy whatever items they have on sale at the time. You can pick up some really great stuff this way. Remember to clip coupons out of your weekly local newspaper. Chances are good that your supermarket advertises in there. You can find out what is on sale and clip your special coupons at the same time.

Tip number two. Do not be afraid to shop at your neighborhood dollar or thrift store! Whether it is a big store like Walmart or

You ever hear that saying “time is money”? It feels like I’ve personally heard it a thousand times from a thousand different people. Even though that phrase is overused and annoying sometimes, it doesn’t mean that it isn’t true. Another common phrase is “money makes the world go around”. Of course money isn’t the physical source that causes the earth to rotate on its axis, but it does play a part in everything humans do on this earth. Money can take many forms, be used for multiple purposes, and can dictate whether someone lives or dies in extreme cases. As much as we would love for everyone to be equal and on a level playing field, that world only exists in fantasy land. The truth is that people who don’t have money want it, and people who do have it want more. The more you have, the more options become available to you.

Since I can remember I’ve had an interesting relationship with money and how I choose to use it. I was raised by a single mom, who worked extremely hard to make sure

You know how when you book a holiday and you know the amount of money you need to spend on that trip – you go, “Right, that’s it! I’m saving up from today – so for the next 3 months, strictly no shopping/no drinking (well, maybe just one glass every now and then) and no crazy night outs!” (You are not alone!)

But imagine if you had this sacred “holiday account” you have been keeping aside $100/$10 every week, for the past year! Having $5,200 ($100/ week) or even $1,200 ($10/ week) handy in this account isn’t bad at all, is it! As the saying goes, “every little bit counts” and it is surprisingly true!

As human beings, we subconsciously live by our values, which is basically an overwhelming desire to pursue what it is that makes you happy; be it a holiday, have a big fairytale wedding, a lifetime Zumba membership, spend more time with loved ones, have the freedom to do what they want – i.e. moving out of home, or buying your own home.

Regardless of whether you opt to become a leader, or prefer to remain an involved, concerned and committed member of an organization, your ability and effectiveness will be positively enhanced, and your actual degree of personal responsibility, is often directly related to your willingness, ability and understanding of the essentials of organizational budgeting. While nearly every group mandates creating and approving an annual budget, very few do so in a way that actually makes the group more effective. Wouldn’t it make sense, therefore, if groups dedicated time and effort, to training their constituents, and especially their leadership (and most involved and concerned members), to all the essentials and necessitates of the various aspects of budgeting, and how to use it effectively? With that in mind, this article will briefly discuss five things you should know and understand, before you prepare, consider and review a budget.

1. What are the needs, priorities and goals for the organization? Budgets should never be created in a vacuum, but rather must be tools for evaluating needs and priorities, and allocating the best proportion of time, money and other resources,

At the end of every month, it’s always the same question – How much did you manage to save? But then, the thought also crosses your mind… Why the need to save, when you earn to spend? If you find yourself cash strapped, there’s the always the option of borrowing some money.

Different people save for different reasons. We’ve discussed 5 reasons you need to start setting aside a few dollars each month.

1. Emergency Funding –

Emergencies are unexpected and uncalled for. A family member might take ill, your roof might start leaking or your drain pipes might get clogged, your car might be involved in an accident or you might have to make an emergency trip. It’s worse if you get laid.

It is impossible to tide over these unexpected expenses if you don’t have any savings to fall back on. So, that’s one reason you need to start saving money.

2. Retire in peace –

This is why most people save money. After working everyday of your life, you dream of living those days of retirement in peace and comfort. You don’t want to be paying

It is very tempting to spend your money without a second thought, but when you do this, you affect more than just your current status; you actually put your future in jeopardy. A person who cares about the future will take every measure to try and secure that future financially and this makes budgeting very important. Contrary to what many people think, you do not need to be a genius for you to be in a position to handle and manage your money. You simply need to put a few things into perspective and you will have an easy time putting your money into good use.

Know your current financial status

Before you can even start planning for how you will spend your money, you really need to know what your current status is. This means taking a closer look at your debts and even expenses. Student loans, home loans and credit cards should not be forgotten including any other kind of debt you might have. When you know where you stand, you get a clearer picture of what needs to be done. You then

When you go inside a gas station, you are tempted to purchase candy, soda, lottery tickets, and other items that may not cost much, but do add up over time! Paying and staying outside keeps you from spending those extra dollars every time you fill up!

2. Buy a coffee-maker!

Why would an answer to saving money be spending money? When told not to drink coffee everyday, people freak out (understandably). Instead, make an investment in a Keurig or other coffee-maker. This will save you time and money that you otherwise would have spent on McDonald’s coffee, Dunkin’ Donuts, or Starbucks. Soon enough, your coffee-maker will be paid off and you will be saving up!

3. Thrift shop!

Need new clothes for that interview? For a date? Get thrifty! If you put in the effort, you can get a whole outfit for $50, or $30, or even $20! Sure, not buying new clothes would save you even more money, but you aren’t getting that second interview with holy, stained clothes!

There are literally hundreds of article and books devoted on budgeting money carefully. I will write on two methods that help me budget money carefully in hopes that others may be able to use this knowledge to help them in their future endeavors.

Method #1: If You Use A Credit Card, Always Check Your Statement Online At Least Once A Week

Most Americans probably own and use a credit card whenever they make purchases, either because it’s convenient and/or because they can get reward points for it. Most Americans are probably aware of the countless stories and articles about credit card debt. However, most credit card debt could be avoided if one pays attention every week to their credit card statements every week.

Whenever I look at my credit card statement every week, I can see how much my balance is as well as what I am spending my money on. When you take a look at what you are spending money on, you can see what expenses you are acquiring that are not always necessary such as eating out or buying things you might not need.

Whenever someone is working on a financial goal, one of the topics that comes up is working with or within a budget. The fact is that there are three distinct types of budgets, each with their own structure and approach. This subject is definitely not a “one size fits all” topic. Understanding the different types of budgets will help you track the right information for the task you are working on.

Operational Budget

Most of the time when someone is talking about their budget, they are referring to an operational budget. An operational budget is one that tracks ongoing financial activity. This the day-to-day budget of a business or a family.

An operational budget tracks both income and expenses. The purpose of this document is two-fold. First, by tracking all financial movement, or “cash flow”, a person can get a much clearer picture of the financial situation. Hopefully, this picture will allow a person to make any desired changes in an efficient manner. Second, the focus of this budget is on the difference between income and expenses. In a business, this is the profit; for a family,

The first month of the year is over and now it’s time to compare how you did last month. But you can’t because you don’t have anything to compare to since you haven’t yet completed your budget for the year.

It is important that you prepare a budget, no matter how small or large your business is. It’s almost impossible to experience growth and profitability without one.

Here are three reasons why you need to have a budget for you business.

1. Plan for Profit. The number one reason you need a budget is so you can plan for profit. You can’t just say “I’m are going to make $500,000 this year” without documenting how you are actually going to reach it. See within your budget you will have detailed out where this income is going to come from such as the different services and/or products you offer. You will break down which months will have higher revenue then others so that you can plan your spending. You with chart out the new opportunities and program launches costs as well as the offsetting and expected revenues. Listing

As your business reaches international levels and competitions get tough – the need for speed is imperative. It is of utmost importance to explore different options for quicker success, but it also calls for upgrading your business with the latest technological developments in order to keep pace with the changing times. One such development is Automated Travel and Expense solutions for an organization. Gone are the days of manually collecting the receipts. Your crew counts on your ability to help them at all stages of professional life. Considering that everyone now uses mobile phone applications, what if you could offer them a user friendly, fast and smart solution for Travel and Expense Management? This virtual based solution is not only faster and easier, but cheaper also which makes it a viable solution for Small and Medium Enterprises.

Only 42% of SMEs have given enough thought and importance to appointing a Chief Financial Officer, says the latest Small Business Accounting survey. And this number drops drastically for companies that accommodate less than 25 employees. This calls for an immediate action. If you are still confused

If you want to save more money, you have to start using your common sense. If you are trying to keep up with the Jones’s, stop; because you will go broke. Always try to live within your means, or better yet, try living slightly below your means.

I’m not talking about going to Sam’s Club to get the free food samples that they hand out and consider that your super. I’m talking about taking an assessment of where you are spending your money and whether it is totally necessary to buy the things you are buying. It boils down to your needs versus your wants. Just make sure that the things you buy are truly important, and don’t spend more than you make.

I have friends and family members who will go out and buy their kids a pair of basketball shoes that cost, are you ready for this, $650 dollars or more. There is a big disparity in the cost of basketball shoes; they could have purchased a cheaper pair in the $50 to $100 dollars’ range, but if you listen to your kids, quite

If you have recently graduated from high school or college and are entering the workforce, establishing credit and developing a sensible household budget is the foundation to your future success. Creating and sticking to a budget based on your current income with a commitment to spend within your means is the first step to creating long-term financial success. The following suggestions will help you develop your budget.

• Monthly Income – Depending if you are a salaried employee, paid hourly, or receive tips and commission income you will need to determine your average monthly income. If you receive 1099, tip, or commission income, you should gather your most recent pay stubs and last year’s tax return to calculate what you typically earn on average each month after taxes. You should also consider: child support, alimony, disability, or cash income that you receive as part of your monthly income. Once you’ve added up all the sources of your typical monthly income you now know what your expenses can be.

• Monthly Expenses – Look at your checkbook and your most recent bank statements to determine what you

You can do a lot more with your finances if you learn how to properly budget and save. You could go from sitting at the house watching television during your paid time off of work to taking a nice vacation with the spouse. You can do much more with your life if you learn how to handle your money like a pro. I’m going to give you 3 tips that if done correctly and steadily will be very effective. Some of these tips may seem obvious; however, too many people fail to do them!

1. Learn To Budget – As painful as it may be this all comes down to the old fashion way of grabbing a pen and a piece of paper and doing some math. Figure out your average monthly income and write that number down. Then, subtract all your bills. After that, take 5% or 10% of the remainder and add it into your savings account. Finally, you have to reward yourself. So hopefully you have something like $300 left, so take $100 and use that for recreation and put the remaining

There are 3 types of people in this world when it comes to finances. They are the Perpetually Broke Person, the Well-Off Person, and the Highly-Wealthy Person.

The Perpetually Broke Person never has any money and ultimately lives paycheck to paycheck. This is sometimes due to economic hardship, but these people exist every pay scale as the Perpetually Broke Person is always spending their income immediately after receiving it, and how much income is less important than how quickly they spend it. This is mostly on consumer goods such as clothes, electronics, and other items that can empty a bank account quickly. Another aspect of the Perpetually Broke Person is that they are amazingly good at giving away their future wealth by getting loans on things they don’t need or can’t even afford such as new cars, home improvement projects, and vacations and getaways.

The Well-Off Person is the next step up and does much better financially then the Perpetually Broke Person as they know how to manage their money by saving it for emergencies and big purchases. They also have good credit scores because

There was a time when people bartered for almost everything. Nothing went at full price and negotiating was the norm. Couponing, in a sense, is a return to the days when buyers made their best deal with sellers, saving hard-earned cash in the bargain.

I’m not an extreme couponer, but I do save money every time I shop at my two primary grocery stores. Plus, I save money via coupons at other retailers, and it’s like putting cash into my pocket.

The most practical way to start couponing is to have a system that makes sense for you, is a process you’ll regularly follow, and doesn’t overburden an already full schedule. The following are tips that will help you develop a money-saving process using coupons that fit into your normal weekly routine.

Start by setting aside the same day weekly to clip, sort and file coupons. Thinking through the process and journaling transactions will help set up a routine. Successful use of money is always set upon routine. Using a journal system with couponing can add personal depth to the process. You can plan menus, record